Money and Inflation - Jamb Economics Past Questions and Answers

Question 76:

• JAMB 2007

A persistent rise in the prices of inputs will lead to

A. Hyperinflation
B. Stagflation
C. Cost-push inflation
D. Demand-pull inflation

Question 77:

• JAMB 2008

The theoretical relationship between money supply and prices is weakened by changes in the

A. Money supply
B. General price level
C. Velocity of money
D. Interest rate

Question 78:

• JAMB 2008

The high rate of inflation in Nigeria can be attributed to

A. Increasing cost of production
B. The appreciation of the naira
C. Decreasing cost of production
D. High capacity utilization

Question 79:

• JAMB 2009

Cost-push inflation occurs when

A. Production cost is high
B. Factor prices decrease
C. There is too much money in circulation
D. Government embarks on deficit financing

Question 80:

• JAMB 2010

The function of money which makes division of labour possible is its

A. Unit of account
B. Store of value
C. Medium of exchange
D. Standard of deferred payment